The Relationship Between Corporate Governance Quality and Accounting Information Affecting Investment Decisions in Securities of Listed Companies in The Stock Exchange of Thailand SET 100
Article Sidebar
Main Article Content
Abstract
This article aimed to study (1) examine the relationship between corporate governance quality and company securities that influence the performance of listed companies on the Stock Exchange of Thailand, and (2) investigate the relationship between accounting information and company securities of listed companies on the Stock Exchange of Thailand. This research is a quantitative study utilizing secondary data collected from financial statements (annual financial data from 2019 to 2023) of 490 companies listed in the SET100 index. The researcher applies the Ohlson model as the statistical framework for data analysis, employing methods such as descriptive statistics, correlation coefficient analysis, and multiple regression analysis. The research results were found as follows: (1) Corporate governance quality is associated with company securities, which in turn affect the financial performance of listed companies on the Stock Exchange of Thailand. Key factors influencing investment decisions include the book value per share (BVPS), earnings per share (EPS), the number of risk management board members (Ac Risk), the company's capital structure (EA), financial performance (ROA), and investment level (FFA), which collectively explain 35.90% of stock price variations. (2) The relationship between accounting information and accounting profit collectively explains 25.70% of stock price variations. When comparing the explanatory power of these factors, corporate governance quality provides greater benefits for investment decision-making than accounting information.
Article Details
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
Views and opinions appearing in articles in the Journal of Arts of Management It is the responsibility of the author of the article. and does not constitute the view and responsibility of the editorial team I agree that the article is copyright of the Arts and Management Journal.
References
Ball, R., & Brown, P. (1968). Empirical evaluation of accounting income numbers. Journal of Accounting Research, 6, 159-178. https://doi.org/10.2307/2490232
Benyasrisawat, P. (2011). Relevancy of accounting information and decision marketing. Executive Journal, 31(2), 10-14.
Dechanubeksa, N. (2024). Financial ratios that influence the price of securities of companies listed on the stock exchange of Thailand: medical business sector. Rajabhat Maha Sarakham University Journal, 18(1), 126–137. https://so05.tci-thaijo.org/index.php /rmuj/article/view/272580
Dej-Udom & Associates Attorneys at Law. (2023). Corporate governance in Thailand. Dej-Udom & Associates Attorneys at Law.
Easton, P. D., & Harris, T. S. (1991). Earnings as an explanatory variable for returns. Journal of Accounting Research, 29(1), 19–36. https://doi.org/10.2307/2491026
El-Mahdy, A.E. (2004). Adaptive channel estimation and equalization for rapidly mobile Communication channels. IEEE Transaction on Communications, 52(7), 1126-1135. DOI: 10.1109/TCOMM.2004.831391
Kabkwang, S., Meeampol, S., & Phongwong, P. (2020). The relationship between board characteristic, audit committee characteristics and earning quality of listed companies in the stock exchange of Thailand. In The 15th RSU National Graduate Research Conference,
(3), 1695-1706. https://rsujournals.rsu.ac.th/index.php/rgrc/article/view/1975/1556
Keawprathum, K., Onweang, D., & Khannapa, C. (2023). The influence of corporate governance and corporate social responsibility on firm performance. The Eastern University of Management and Technology Academic Journal, 20(2), 101-121. https://so06.tci-thaijo.org/index.php/umt-poly/article/view/269547
Kongprajya, A. (2010) An analysis of the impact of political news on Thai stock market[Master’s thesis, University of Nottingham].
Nueangsittha, N., Petchchedchoo, P., & Kumsuprom, S. (2022). Cash flow information for investment decisions of listed companiec in the stock exchange of Thailand, SET 100 group: before and after the implementation of the international financial reporting standard (IFRS). Journal Of Buddhist Anthropology, 7(5), 49–65. Retrieved From Https://So04.Tci-Thaijo.Org/Index.Php/JSBA/Article/View/253237
Ohlson, J. (1995). Earning, book values, and dividends in equity valuation. Contemporary Accounting Research, 11, 661-687. https://doi.org/10.1111/j.1911-3846.1995.tb00461.x
Phakdee, A. (2024). Value relevance of accounting information and earnings management of Thai listed companies. Journal of Management and Development, Ubon Ratchathani Rajabhat University. 11(1), 111-126. https://so06.tci-thaijo.org/index.php/JMDUBRU/article/ view/275442
Prasomsri, J. (2021). Analysis of factors affecting the valuation of the financial ratio market price per forecast earnings per share using Ohlson’s model in the stock exchange of Thailand[Master’s thesis, Mahidol University].
Sakhakon, C., Henchokchaichana, N., & Srichanphet, S. (2014). Internal control and internal audit. TPN Press.
Songjarean, P. (2024). The relationship between capital structure and profitability of listed companies in the stock exchange of Thailand. Rajapark Journal. 16(47), 177-188. https://so05.tci-thaijo.org/index.php/RJPJ/article/view/255879
Srichanphet, S., Aryati, T., Pamungkas, B., & Agoes, S. (2016). Does the audit committee help increase profit quality. Accountancy Professional Journal, 12(33), 40-49. DOI:10.47577/tssj.v29i1.6051
The Stock Exchange of Thailand. (2017). Corporate governance policy and code of conduct. https://media.set.or.th/set/Documents/2022/Mar/TSD_CG_Policy2017.pdf
